[arthurus]

The results are real but the causes claimed are not. It is the effect of Inflation. More money is created and most of it goes to the government and to government protected Finance/Wall Street. It is real gains, not just inflation phoney gains because when the number of dollars is increased without a corresponding increase in production that devalues each person's dollars but the Protected Class is getting an increase in the amount of those dollars while the rest of us have only the same number of dollars or fewer because of a declining economy and declining wages..

With production static or decreasing THEY are getting a larger and larger share of it.

If you have $100 and I have $100 and if I have the power to "create" money and you don't then I "create" $100 without selling anything and there is no addition to the available stock of goods then $300 is bidding for the same set of goods that $200 would have bought previously. I can buy, now 50% more of those goods than you can because the prices have all gone up 50% except, of course, the price of labor, your labor. I can buy more of the stock of goods than you can. You are able to buy fewer goods than you could previously. I am wealthier than you now and have created nothing. My money "creation" was a division of the existing wealth into a larger number of smaller units and I let generously let you keep the same number of units/dollars you had before,but I have taken a big chunk of your wealth and arrogated it to myself of those to whom I choose to give it.

Inflation is a Wealth Tax.

[cizinec]

I’ve been trying to tell folks that forever.

In fact, the regulation of the financial industry creates incentives that distort the economic information traded in the markets. Money is just information/knowledge in an easily exchangable form.

Who does this idiot think will create the regulations for the financial industry? Burger flippers? Finance gurus who know how to appease the masses get selected by the “poor.” Then, once the gurus have power, regardless of their intent, they do what is in their personal self-interest. See Allen Greenspan, the “disciple of Ayn Rand” who betrayed every libertarian ideal to control the levers of our economy. It’s been the same since the beginning of time.

In order for an economy to work at its best, there has to be 1) a medium of communication (settled and stable legal and social framework) that 2) is low entropy (does not send false signals to the market) and 3) free people able to freely communicate their values in contributions without interference.

In the author’s world, the gurus look after the burger flippers. In my world, the burger flippers ARE THE ECONOMIC POWER. By giving the power to the banks and financial industry through regulations, they are making the poor more powerless.